Homeowners are seeing skyrocketing insurance rates as extreme weather worsens. Can this bill of rights help?

"As weather disasters become more and more frequent, the home insurance system feels broken for Americans across the country. Now, the advocacy nonprofit Consumer Reports is trying to implement a " homeowners insurance bill of rights " to codify baseline protections across all 50 states. According to a survey from the group, homeowners have seen their insurance rates climb-like Sierra in North Carolina, whose insurance spiked 43% last year, with her provider citing the "increased regional weather risks" as well as Hurricane Helene's impact specifically."

"They've been denied payouts, like Charmian in Illinois, who says their provider refused to pay for hail damage on their roof. Hail storms are becoming both more frequent and more damaging as global temperatures rise. And some homeowners have been outright abandoned as insurance companies flee high-risk states and drop long-time customers. Because of the growing risk of wildfires, hurricanes, floods, and other disasters, homeowners have been dropped in states including California, Florida, and Louisiana, among others."

"Consumer Reports rates all sorts of products and services, from appliances to electric vehicles to anti-virus software. But it only just started covering insurance providers this year. The focus on home insurance was prompted by the January wildfires in Los Angeles-and the news that major providers like State Farm and other insurers had canceled hundreds of policies in the months before that disaster hit."

Weather disasters are increasing in frequency and severity, straining the homeowners insurance system nationwide. Many homeowners have seen steep premium increases, with some facing spikes such as a 43% rise attributed to regional weather risks and specific storms. Policyholders report denied claims for damage like hail, while insurers are canceling or refusing renewals and fleeing high-risk states, leaving homeowners without coverage even after making risk-reduction investments. Consumer Reports collected over 500 member stories and recently began evaluating insurance providers, motivated by wildfire-driven policy cancellations and insurer departures prior to major disasters. Advocacy efforts seek a homeowners insurance bill of rights to establish baseline protections in every state.

Read at Fast Company